Industrial pollution continues to be a major factor causing the degradation of the environment around us, affecting the water we use, the air we breathe and the soil we live on. Of them, water pollution is arguably the most serious threat to current human welfare. Water is polluted both by the industries and the households. Polluted water contains low level of dissolved oxygen as a result of the heavy biological oxygen demand (BOD) and chemical oxygen demand (COD) generated by industrial and household waste materials as they are discharged into water bodies and water systems, both above and below the earth’s surface. In addition to low level of dissolved oxygen in water, industrial waste (effluents) also contains chemicals and metals which are directly harmful to the health of human beings as well as eco-system.

In order to solve the problem of water pollution, both developed and developing countries have formulated comprehensive legislations for environmental regulation. These legislations provide for the use of command and control measures, economic instruments and institutions facilitating people’s participation for environmental management

Industrial Economics Journal, Environmental Regulation, Human Welfare, Biological Oxygen Demand, BOD, Chemical Oxygen Demand, COD, Economic Instruments, Environmental Management, Pollution Control, Abatement Technologies, Total Suspended Solids, TSS, Regulatory System, Environmental Constraint, Marginal Cost.